Question
How do I calculate the cost of debt in this question? A project has a useful life of 5 years. Find the cost of debt
How do I calculate the cost of debt in this question? A project has a useful life of 5 years. Find the cost of debt for the project if the debt ratio is 0.5.
Debt Premium for project relative to government rate is 1.2% for the first project.
Yields of government securities 5 year = 2.5%; 10 year = 3.4%
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Financial Markets And Institutions
Authors: Anthony Saunders, Marcia Cornett
8th Edition
1264098723, 978-1264098729
